What it means
It is useful on a long one-page site because visitors can skip directly to the content they need. The target should be a meaningful section with a stable identifier. Smooth scrolling is optional; the navigation should still work with keyboard input, reduced-motion preferences and JavaScript unavailable.
Use it in practice
Use descriptive link labels and leave enough scroll offset for any fixed header. Check that arriving at the target preserves a clear context.
Watch out for
A screenshot cannot establish whether a navigation label is an in-page link. Test the live interaction before treating it as a working example.